HSBC Rewards is offering a 30% transfer bonus to British Airways Avios for the month of June 2022.
This is lower than previous transfer bonuses of 35% and 40% that we saw in late 2020 and mid-2021, respectively, but still worth waiting for if you were planning to use HSBC Rewards points for Avios in the coming months.
HSBC to Avios 30% Transfer Bonus
From June 1, 2022 to June 30, 2022, you’ll receive a 30% bonus when you convert HSBC Rewards points to British Airways Avios.
The standard conversion ratio is 25,000 HSBC Rewards points = 10,000 Avios, so the ratio will effectively be bumped up to 25,000 HSBC Rewards points = 13,000 Avios for the month of June 2022 – effectively, a shade over 2:1.
The terms and conditions of the promotion are as follows:
Keep in mind that HSBC Rewards follows a rather peculiar redemption structure when it comes to its trio of frequent flyer partners:
- A minimum of 25,000 HSBC Rewards points must be redeemed at once
- On top of the minimum amount, HSBC Rewards points may be redeemed in increments of 10,000 points
Therefore, you have the option of converting your HSBC Rewards points in chunks of 25,000, 35,000, 45,000, etc., earning you 13,000, 18,200 Avios, 23,400 Avios, and so on.
If you wanted to convert, say, exactly 50,000 HSBC Rewards points into 26,000 Avios, you’d need to do so in two transactions of 25,000 points each.
Should You Transfer HSBC Rewards to British Airways Avios?
If you have a large stash of HSBC Rewards points from previous signup offers or from regular spending on the card, then it’s worth thinking about whether the 30% transfer bonus represents the best use-case for you.
The baseline redemption method for HSBC Rewards is to offset against travel purchases at a rate of 200 points = $1, or effectively 0.5 cents per point (cpp). You simply charge any travel purchase to your card and then retroactively apply your points to the purchase and “wipe” it from the statement.
(And if you redeemed your points this way against a refundable travel purchase and later went ahead and cancelled it, then the refund would go back to your credit card, essentially leaving you with a statement credit.)
Meanwhile, if you were to transfer HSBC Rewards points to Avios with a 30% transfer bonus in place, then we can think about how much value you’d need to redeem your resulting Avios for in order to “beat” the baseline redemption.
Let’s imagine that you have 50,000 HSBC Rewards points in your balance, which could be redeemed as $250 in travel purchases.
During the month of June 2022, these 50,000 points can also be converted into 26,000 British Airways Avios – although keep in mind that you’ll need to make this transfer in two chunks of 25,000 points each, as outlined above.
In my view, 26,000 Avios is easily the more attractive option here – you’d simply need to redeem them for at least 0.96cpp in order to come out ahead compared to the baseline cash option.
Extracting 0.96cpp from your Avios should be pretty effortless, whether you’re looking to convert Avios to Qatar Airways to book Qsuites, Toronto–Dublin on Aer Lingus, short-haul flights on Oneworld carriers within other parts of the world, or a creatively assembled Avios multi-carrier booking around the world.
Additionally, with a 30% bonus in place, the Avios transfer option also handily beats out the other two frequent flyer partners: converting at a 25:9 ratio to Singapore Airlines KrisFlyer or a 25:8 ratio to Cathay Pacific Asia Miles – unless, of course, you’re dead-set on earning KrisFlyer miles so you can fly Singapore Suites one day.
During the month of June 2022, HSBC Rewards is offering offer a 30% transfer bonus to British Airways Avios, which represents a fantastic opportunity to extract maximum value out of your HSBC Rewards points.
If you have HSBC Rewards points sitting in your account and have been eyeing an Avios conversion, now’s the time to take action and maximize your earnings.
You might need to plan out some of your spending to top-up to the required points thresholds for a transfer, but I’d expect that effort to be well worth it in terms of the ultimate redemption value.
With a 30% transfer bonus following on from 35–40% transfer bonuses we’ve seen in the past, it’s looking like we can count on this promotion to return year after year so that our stash of HSBC Rewards points can be put to optimal use.